Every week we get the same call. Someone was rear-ended on the 405, their insurance adjuster gave them a list of "preferred" shops, and now they’re wondering if they have to use one of them. The short answer is no. Under California law, the choice is yours — and it always has been.
The California Law on Your Right to Choose
California Insurance Code Section 758.5 is the specific statute that protects you. It says an insurer cannot require the use of a specific auto repair dealer. It also cannot suggest or recommend a shop unless the consumer first asks for a recommendation, or the consumer has been informed in writing of the right to choose any shop. This isn’t buried policy language — it’s state law with real teeth.
What this means in plain English: your insurance company can offer you a shop, but the moment you say "I’d like to go somewhere else," that conversation is supposed to end. If the adjuster keeps pushing, that’s steering, and steering is a violation.
What Insurance Steering Actually Sounds Like
Steering is rarely obvious. It usually shows up as friendly-sounding pressure. Here are phrases we hear customers repeat back to us:
- "We can’t guarantee the repair if you don’t use one of our shops."
- "It’ll take three weeks longer at that other place."
- "You’ll have to pay the difference in labor rates."
- "Our shops use the same parts anyway."
Some of these are misleading. Some are flat-out false. The warranty on your repair comes from the shop that does the work, not the insurance company. And in California, insurers are required to pay a reasonable market labor rate — not just the discounted rate they’ve negotiated with their DRP network.
How Direct Repair Program (DRP) Shops Actually Work
A DRP shop has a contract with the insurance company. In exchange for a steady stream of referred customers, the shop agrees to certain concessions — usually a discounted labor rate, faster cycle time targets, and sometimes the use of aftermarket or used parts when the carrier prefers it.
DRP shops aren’t automatically bad. XP Auto Center is on the Allstate DRP, and we take that seriously. But the DRP relationship is between the shop and the insurer — not the shop and you. Some carriers push DRP shops harder to save money in ways that don’t always align with what’s best for your car. That’s why the right to choose exists.
What to Say When an Adjuster Pushes a Shop
You don’t have to argue. You just have to be clear. Here’s what works:
"Thank you, but I’ve already chosen XP Auto Center in San Fernando. Please send the assignment there."
That’s it. No explanation required. If the adjuster resists, you can say "I understand my rights under California Insurance Code 758.5, and I’d like to proceed with my chosen shop." That usually ends the conversation.
Why This Matters for the Repair Itself
Your car after a collision isn’t the same car it was before. Modern vehicles have high-strength steel, aluminum panels, ADAS sensors, and structural adhesives that all require specific OEM procedures. A shop that’s I-CAR Gold Class certified and OEM-trained for your make will follow those procedures. A shop chasing a DRP cycle-time bonus might not.
We hold OEM certifications for Honda, Acura, Ford, GM, Nissan, Alfa Romeo, FCA, and Lincoln. That means we have the training, the tooling, and the access to manufacturer repair procedures for those brands. If a shop doesn’t have that, they’re guessing — and guessing on a modern unibody is how safety systems fail later.
What Happens If You’ve Already Dropped Off Your Car
You can still move it. Even if you’ve signed paperwork at a shop, you have not signed away your right to choose. Call the shop, tell them you’re picking up the vehicle, and have it towed or driven to your preferred shop. The insurer will redirect the assignment. There may be a small teardown or storage fee, but you are not stuck.
Bring Your Repair to a Shop That Works for You, Not Your Insurer
XP Auto Center has been serving the San Fernando Valley for over 20 years. We’re I-CAR Gold Class, OEM-certified across seven manufacturers, and we work with every major insurance carrier — including as an Allstate DRP shop. But no matter who your carrier is, our job is to restore your car to pre-loss condition using the right parts and the right procedures.
If you’ve been in an accident and you’re getting the shop-choice runaround, call us at (818) 336-1000. We’ll walk you through the claim, deal with the adjuster on your behalf, and get your car back to you the right way. Learn more about our collision repair services or how we handle insurance claims.
Frequently Asked Questions
Can my insurance company force me to use their preferred body shop?
No. Under California Insurance Code Section 758.5, insurers cannot require you to use a specific repair shop. They can suggest one, but you have the final say.
What is insurance steering?
Steering is when an insurance adjuster pressures you into using a shop from their network by claiming it will be faster, cheaper, or better warrantied. It’s technically legal to recommend a shop, but illegal to require or misrepresent your options.
Will I pay more out of pocket if I choose my own shop?
Not typically. Your insurer still owes you a proper repair regardless of which shop you pick. If there’s a labor rate gap, most legitimate shops will negotiate directly with the insurer or supplement the estimate.
What if my insurer refuses to pay what my shop charges?
Your shop can file a supplement with photos and OEM procedures. If the carrier still refuses reasonable costs, you can escalate to the California Department of Insurance.
